College Savings (529) Calculator
Project how much your 529 plan will be worth by the time your child starts college, and see how it compares to estimated costs.
*Estimates only. Investment returns are not guaranteed. Not financial or tax advice.
Want to model other long-term investment goals?
Compound Interest Calculator🎓 Planning for College Costs
Small, consistent contributions compounded over a decade or more can close a surprisingly large gap.
How it Works
This calculator grows your current balance and future monthly contributions at your assumed rate of return until the year college starts, then compares that projected total to your estimated cost.
The Formula
Balance = Current × (1 + r/12)^(12t) + Monthly Contribution × [((1 + r/12)^(12t) − 1) / (r/12)], where r is the annual return and t is years remaining.
Pro Tip
Starting even $50/month at birth typically outperforms a much larger contribution started when the child is a teenager, because compounding needs time more than it needs size.
Frequently Asked Questions
What is a 529 plan? +
A 529 plan is a tax-advantaged savings account designed for education expenses. Contributions grow tax-free, and withdrawals for qualified education expenses (tuition, room and board, books) are also tax-free at the federal level. Many states also offer a state income tax deduction for contributions.
How much does 4 years of college actually cost? +
Costs vary enormously. In-state public university (tuition, fees, room and board) averages roughly $100,000-$110,000 total over 4 years, while private nonprofit universities can run $220,000-$260,000 or more. Costs also tend to rise faster than general inflation, so project conservatively and revisit the estimate periodically.
What rate of return should I assume for a 529 plan? +
Most 529 plans use age-based portfolios that start more aggressive (stock-heavy) when the child is young and shift toward bonds and cash as college approaches. A blended average of 5-7% annually is a common planning assumption, though actual returns will vary year to year and are not guaranteed.
What if I don't save enough to cover the full cost? +
A 529 plan rarely needs to cover 100% of costs. Families commonly combine savings with financial aid, scholarships, work-study, and federal student loans. Even covering 40-60% of costs through a 529 plan significantly reduces the amount that needs to be borrowed.
Can 529 funds be used for anything besides tuition? +
Yes. Qualified expenses include tuition, mandatory fees, room and board (if enrolled at least half-time), books, supplies, and required equipment. Up to $10,000 per year can also be used for K-12 tuition, and unused funds can now be rolled into a Roth IRA for the beneficiary under certain limits.